Work and pensions secretary Iain Duncan-Smith has unveiled his heavily trailed welfare reform paper: 21st Century Welfare.
The thrust of the consultation paper is the ethos that work always pays and should be clearly seen to pay, At the same time it claims to be able to bring an end to the department's perennial quest to simplify the welfare system.
It is difficult to work out the impact on the most vulnerable. The paper insists there will be protection for this client group and adds: "We do not aim to reduce the levels of support for people in the most vulnerable circumstances but it is clearly important that we ensure support is well targeted, is fair to those on low pay and that the right money goes to the right people."
It goes on to say: "It would not, however, be our intention to use Universal Credit reform to reduce the levels of support for people in the most vulnerable circumstances. At the appropriate stage, we will assess the impact of our proposals on vulnerable groups."
The reforms include allowing people to keep more of what they earn as they move into work whilst withdrawing benefits at a single, more reasonable rate as people start to earn more money.
The options in the document could see a major reform of the number and type of tax credits and benefits available and the way in which they are withdrawn when people move and progress in the workplace. They would:
* Combine elements of the current income-related benefits and Tax Credit systems;
* Bring out-of-work and in-work support together in a far simpler system.
* Supplement monthly household earnings through credit payments reflecting circumstances (including children, housing and disability).
The system could improve incentives to get a job as people would see no reduction in their benefit until they earn over a certain level.
It is also designed to cut the amount of fraud and error in the system and also lessen the amount of time customers need to spend filling out forms when a job ends.
These elements have Duncan-Smith's fingerprints all over them. He clearly believes very much in the morality of work but at the same time has a strong social welfare instinct and was the man who set up the Centre for Social Justice
The thrust of the consultation paper is the ethos that work always pays and should be clearly seen to pay, At the same time it claims to be able to bring an end to the department's perennial quest to simplify the welfare system.
It is difficult to work out the impact on the most vulnerable. The paper insists there will be protection for this client group and adds: "We do not aim to reduce the levels of support for people in the most vulnerable circumstances but it is clearly important that we ensure support is well targeted, is fair to those on low pay and that the right money goes to the right people."
It goes on to say: "It would not, however, be our intention to use Universal Credit reform to reduce the levels of support for people in the most vulnerable circumstances. At the appropriate stage, we will assess the impact of our proposals on vulnerable groups."
The reforms include allowing people to keep more of what they earn as they move into work whilst withdrawing benefits at a single, more reasonable rate as people start to earn more money.
The options in the document could see a major reform of the number and type of tax credits and benefits available and the way in which they are withdrawn when people move and progress in the workplace. They would:
* Combine elements of the current income-related benefits and Tax Credit systems;
* Bring out-of-work and in-work support together in a far simpler system.
* Supplement monthly household earnings through credit payments reflecting circumstances (including children, housing and disability).
The system could improve incentives to get a job as people would see no reduction in their benefit until they earn over a certain level.
It is also designed to cut the amount of fraud and error in the system and also lessen the amount of time customers need to spend filling out forms when a job ends.
These elements have Duncan-Smith's fingerprints all over them. He clearly believes very much in the morality of work but at the same time has a strong social welfare instinct and was the man who set up the Centre for Social Justice
